Completed non-core Huron and Permian asset divestitures for total net
proceeds of approximately $580 million; transactions also relieved EQT
of approximately $240 million in related liabilities

Robert J. McNally, president and chief executive officer, said, “Our
strong fourth quarter performance demonstrates our focus on operations
and on positioning EQT for increased efficiency, cash flow growth, and
shareholder value creation. With world-class assets, a sound plan, and a
strong team committed to operational excellence, we look forward to
building on our recent progress.”

McNally added, “Throughout the last 12 months, EQT has transformed into
a focused upstream industry leader with a strong balance sheet and
simplified corporate structure. We project that EQT will generate
approximately $300-400million of adjusted free cash flow in 2019 and
approximately $2.9 billion over the next five years. We are committed to
lowering costs and improving operational efficiencies across the
organization and previously announced actions that reduced annual cash
costs by approximately $100 million. Today, we announce an additional
$50 million in annual cost reductions, a first step toward realizing our
‘Target 10% Initiative’.”

STRATEGICMILESTONES

2018 Divestitures

Permian Basin Assets: In June 2018, EQT completed the sale of its
Permian Basin assets for net cash proceeds of approximately $57 million.
The transaction also relieved EQT of approximately $40 million of
related liabilities.

Non-Core Huron Assets: In July 2018, EQT completed the sale of
its non-core Huron assets located in Southern Appalachia to Diversified
Gas and Oil PLC, for net cash proceeds of approximately $524 million.
The transaction also relieved EQT of approximately $200 million of
plugging and other liabilities associated with the assets.

Separation of Equitrans Midstream Corporation

In November 2018, EQT completed the separation of its upstream and
midstream businesses (the Separation), creating a standalone publicly
traded corporation, Equitrans Midstream Corporation
ETRN, +0.96%
EQT
shareholders retained their EQT shares and received 0.80 shares of ETRN
common stock for every one share of EQT common stock outstanding as of
the close of business on November 1, 2018 (the Distribution). Upon the
Separation, EQT retained a 19.9% equity stake in ETRN, which is worth
approximately $1.0billion as of December 31, 2018. The stake provides
significant balance sheet flexibility and the Company expects to
monetize its equity stake over the next two years.

EQT reported a net loss from continuing operations for the year-ended
2018, compared to net income from continuing operations for 2017.
Adjusted net income from continuing operations, which excludes
impairment charges, non-cash derivatives and other items impacting the
comparability between periods, increased $344 million. Net cash provided
by operating activities for the year-ended 2018 was $1,338 million
higher due to an increase in operating revenue, partly offset by an
increase in cash operating costs. Adjusted operating cash flow increased
102%.

Total operating revenues increased as a result of a 68% increase in
sales volumes, which was primarily driven by EQT's acquisition of Rice
Energy Inc. (Rice Merger) and increased production, partly offset by the
impact of the 2018 Divestitures. The average realized price for natural
gas decreased slightly year-over-year, primarily due to a decrease in
the average NYMEX natural gas price (including Btu uplift), net of cash
settled derivatives and a decrease in higher priced liquids sales volume
resulting from the 2018 Divestitures, partly offset by an increase in
the average natural gas differential.

Operating expenses for 2018 were approximately $4.6 billion higher than
last year, primarily due to impairments of $3.5billion related to the
2018 Divestitures, goodwill impairment and lease impairments and
expirations. Depreciation and depletion expense increased $598 million;
transportation and processing expense increased $532 million; selling,
general and administrative expense (SG&A) increased $75 million
primarily as a result of a $52 million legal reserve recorded in the
fourth quarter and costs associated with the indirect midstream business
not permitted to be allocated to discontinued operations under the
accounting rules. These unallocated costs were approximately $47 million
for the year ended December 31, 2018.

Per unit cash operating expenses decreased 18%, primarily as a result of
the 2018 Divestitures and increased sales volume. Excluding the costs
related to the 2018 Divestitures, per unit LOE was $0.05 per Mcfe as
compared to a divestiture adjusted $0.07 per Mcfe for 2017. Excluding
the sales volumes related to the 2018 Divestitures, per unit gathering
expense was $0.55 per Mcfe in 2018 and $0.60 per Mcfe in 2017 and per
unit transmission expense was $0.50 per Mcfe in 2018 and $0.61 per Mcfe
in 2017.

Three Months Ended

December 31,

($ millions, except EPS)

2018

2017

Change

Total sales volume (Bcfe)

394

294

100

Net (loss) income from continuing operations

$

(598

)

$

1,277

$

(1,875

)

Adjusted net income from continuing operations (a non-GAAP measure)

$

202

$

118

$

84

Adjusted EBITDA from continuing operations (a non-GAAP measure)

$

678

$

451

$

227

Diluted EPS from continuing operations

$

(2.35

)

$

5.81

$

(8.16

)

Adjusted EPS from continuing operations (a non-GAAP measure)

$

0.79

$

0.54

$

0.25

Net cash provided by operating activities

$

531

$

426

$

105

Adjusted operating cash flow (a non-GAAP measure)

$

693

$

465

$

228

In the fourth quarter 2018, EQT reported a net loss from continuing
operations, primarily as a result of goodwill and lease impairments and
a loss on derivatives not designated as hedges, partly offset by an
increase in quarterly revenue of $583 million from sales of natural gas,
oil and natural gas liquids. Adjusted net income from continuing
operations, which excludes impairment charges, non-cash derivatives and
other items impacting comparability between periods, was $84 million
higher than the same quarter last year. Net cash provided by operating
activities for the fourth quarter increased $105 million and adjusted
operating cash flow increased 49%.

Compared to the same quarter last year, the average realized price for
natural gas was 3% higher at $3.13 per Mcfe, which was primarily due to
increases in the average NYMEX natural gas price net of cash settled
derivatives and the average natural gas differential.

Depreciation and depletion and transportation and processing expense
increased consistent with an increase in production volume. SG&A
increased $74 million primarily as a result of a $52 million legal
reserve recorded in the fourth quarter and costs associated with the
indirect midstream business not permitted to be allocated to
discontinued operations under the accounting rules.

The Non-GAAP Disclosures section of this news release provides
reconciliations of non-GAAP financial measures to the most comparable
GAAP financial measures, as well as important disclosures regarding
certain projected non-GAAP financial measures.

Capital Expenditures

Three Months Ended

Year Ended

December 31,

December 31,

(millions)

2018

2017

2018

2017

Reserve development

$

431

$

466

$

2,255

$

1,208

Land and lease

64

38

228

178

Capitalized overhead

29

27

130

115

Capitalized interest

6

6

29

21

Other production infrastructure

3

12

42

43

Property acquisitions

24

(4

)

48

829

Other corporate items

1

4

7

13

Total capital expenditures from continuing operations

$

558

$

549

$

2,739

$

2,407

Operating Expenses Per Unit

The following presents certain of the Company's operating expenses
on a per unit basis.

Three Months Ended

Year Ended

December 31,

December 31,

($/Mcfe)

2018

2017

2018

2017

Gathering

$

0.54

$

0.53

$

0.54

$

0.55

Transmission

0.46

0.48

0.49

0.56

Processing

0.09

0.16

0.11

0.20

Lease operating expenses (LOE), excluding production taxes

0.04

0.12

0.07

0.13

Production taxes

0.07

0.06

0.06

0.08

Exploration

—

0.05

—

0.02

SG&A

0.33

0.19

0.19

0.24

Total cash operating expenses per unit

$

1.53

$

1.59

$

1.46

$

1.78

Production depletion

$

1.06

$

1.06

$

1.04

$

1.04

2018 Reserves Report

In a separate news release issued today, EQT reported total proved
reserves as of December 31, 2018, of21.8 Tcfe. Adjusting for the impact
of the 2018 Divestitures, the Company’s proved reserves increased 11%,
or2.1 Tcfe and proved developed reserves increased 21%. The Company had
11.6 Tcfe of proved developed reserves as of December 31, 2018.

Operational Update

EQT’s January 2019 operational metrics reflect its move to stable
operations in late 2018. Horizontal drilling performance improved from
1.17 days per 1000’ in the second half of 2018 to 0.87 days per 1000’ in
January 2019, a 25% improvement. Additionally, frac stages per day
increased 65% in January 2019 compared to January 2018. Finally, January
2019 well costs were in line with the Company’s 2019 guidance.

These totals may differ from previous presentations to account
for purchases, dispositions, wells plugged, or that have had a
change in target formation to/from Marcellus.

Ohio Utica Horizontal Gross Well Status*

As of

As of

As of

As of

As of

12/31/18

9/30/18

6/30/18

3/31/18

12/31/17

Wells drilled (spud)

251

251

246

236

220

Wells online

221

218

198

196

182

Wells complete, not online

8

1

14

2

5

Wells drilled, uncompleted

22

32

34

38

33

*

These totals may differ from previous presentations to account
for acquisitions, dispositions, or wells plugged.

HEDGING (as of January 31, 2019)

The Company’s total natural gas production NYMEX hedge positions
through 2023 are:

2019 (a)

2020

2021

2022

2023

Swaps

Volume (MMDth)

751

567

296

136

61

Average Price($/Dth)

$

2.94

$

2.82

$

2.78

$

2.75

$

2.74

Calls - Net Short

Volume (MMDth)

336

157

37

22

7

Average Short Strike Price ($/Dth)

$

3.38

$

3.15

$

3.25

$

3.20

$

3.18

Puts - Net Long

Volume (MMDth)

40

—

10

—

—

Average Long Strike Price ($/Dth)

$

2.97

$

—

$

2.71

$

—

$

—

Fixed Price Sales (b)

Volume (MMDth)

123

10

—

—

—

Average Price ($/Dth)

$

3.01

$

2.77

$

—

$

—

$

—

(a)

Full year 2019

(b)

The difference between the fixed price and NYMEX are included in
average differential on the Company’s price reconciliation.

Year-End and Fourth Quarter 2018 Webcast
Information

The Company's conference call with securities analysts begins at 10:30
a.m. ET today and will be broadcast live via the Company's web site at www.eqt.com,
and on the investor information page of the Company’s web site at ir.eqt.com,
with a replay available for seven days following the call.

2019 GUIDANCE

See the Non-GAAP Disclosures section for important information regarding
the non-GAAP financial measures included in this news release, including
reasons why EQT is unable to provide a projection of its 2019 net cash
provided by operating activities, the most comparable financial measure
calculated in accordance with GAAP, to projected adjusted operating cash
flow and adjusted free cash flow, or a projection of its 2019 net
income, the most comparable financial measure calculated in accordance
with GAAP, to projected adjusted EBITDA.

Production

Q1 2019

Full-Year 2019

Total sales volume (Bcfe)

360 - 380

1,470 - 1,510

Liquids sales volume, excluding ethane (Mbbls)

1,985 - 2,085

8,200 - 8,400

Ethane sales volume (Mbbls)

1,060 - 1,160

5,420 - 5,620

Total liquids sales volume (Mbbls)

3,045 - 3,245

13,620 - 14,020

Resource Counts

Marcellus / Utica Rigs

6 - 8

Top-hole Rigs

2 - 4

Frac Crews

5 - 7

Unit Costs ($ / Mcfe)

Gathering

$0.55 - 0.57

Transmission

$0.48 - 0.50

Processing

$0.08 - 0.10

LOE, excluding production taxes

$0.05 - 0.07

Production taxes

$0.04 - 0.06

SG&A

$0.11 - 0.13

Average differential ($ / Mcf)

$(0.10) - 0.10

$(0.45) - (0.25)

($'s in Billions)

Adjusted EBITDA (a non-GAAP measure)

$2.3 - 2.4

Adjusted operating cash flow (a non-GAAP measure)

$2.2 - 2.3

Capital expenditures

$1.85 - 1.95

Adjusted free cash flow (a non-GAAP measure)

$0.3 - 0.4

Based on NYMEX natural gas price as of 01/31/2019 of $2.93.

NON-GAAP DISCLOSURES

Adjusted Net Income from Continuing Operations and Adjusted Earnings
per Diluted Share (AdjustedEPS) from Continuing Operations

Adjusted net income from continuing operations and adjusted EPS from
continuing operations are non-GAAP supplemental financial measures that
are presented because they are important measures used by EQT's
management to evaluate period-to-period comparisons of earnings trends.
Adjusted net income from continuing operations and adjusted EPS from
continuing operations should not be considered as alternatives to net
(loss) income from continuing operations or diluted EPS from continuing
operations presented in accordance with GAAP. Adjusted net income from
continuing operations as presented excludes the revenue impact of
changes in the fair value of derivative instruments prior to settlement,
impairment/loss on the sale of long-lived assets, impairment of
goodwill, lease impairments and expirations, transaction costs and
certain other items that impact comparability between periods.
Management utilizes adjusted net income from continuing operations to
evaluate earnings trends because the measure reflects only the impact of
settled derivative contracts; thus, the income from natural gas sales is
not impacted by the often-volatile fluctuations in the fair value of
derivatives prior to settlement. The measure also excludes other items
that affect the comparability of results or that are not indicative of
trends in the ongoing business. Management believes that adjusted net
income from continuing operations as presented provides useful
information for investors for evaluating period-over-period earnings.

The table below reconciles adjusted net income from continuing
operations and adjusted EPS from continuing operations with net (loss)
income from continuing operations and diluted EPS from continuing
operations, the most comparable financial measures calculated in
accordance with GAAP, each as derived from the Statements of
Consolidated Operations.

Three Months Ended

Year Ended

December 31,

December 31,

2018

2017

2018

2017

(Thousands, except per share information)

Net (loss) income from continuing operations

$

(598,062

)

$

1,276,690

$

(2,380,920

)

$

1,387,029

Add back / (deduct):

Impairment/loss on sale of long-lived assets

3,538

—

2,709,976

—

Impairment of goodwill

530,811

—

530,811

—

Asset and lease impairments and exploratory well costs

244,124

15,274

279,708

20,327

Transaction costs

2,401

142,540

26,331

152,188

Loss (gain) on derivatives not designated as hedges

184,211

(167,328

)

178,591

(390,021

)

Net cash settlements (paid) received on derivatives not designated
as hedges

(197,878

)

47,565

(225,279

)

40,728

Premiums (paid) received for derivatives that settled during the
period

(18

)

537

435

2,132

Increase in litigation reserves

51,677

—

51,677

—

Unrealized loss on EQT’s investment in ETRN

72,366

—

72,366

—

Loss on debt extinguishment

—

12,641

—

12,641

Tax impact of non-GAAP items (a)

(91,527

)

(14,931

)

(798,927

)

70,788

Tax benefit related to federal tax law change (b)

—

(1,194,652

)

—

(1,194,652

)

Adjusted net income from continuing operations

$

201,643

$

118,336

$

444,769

$

101,160

Diluted weighted average common shares outstanding

254,642

219,712

260,932

187,727

Diluted EPS from continuing operations

$

(2.35

)

$

5.81

$

(9.12

)

$

7.39

Adjusted EPS from continuing operations

$

0.79

$

0.54

$

1.70

$

0.54

a)

Blended tax rates of 10.3% and 29.2% were applied to calculate the
tax impact of the adjustments to net (loss) income from continuing
operations for the three months ended December 31, 2018 and 2017,
respectively. The tax impact for the three months ended December 31,
2018 and 2017 also includes the tax rate differential between the
third and fourth quarters of each year, which primarily related to
costs that are not deductible for tax purposes including the
impairment of goodwill and certain transaction costs. Blended tax
rates of 22.0% and 43.7% were applied to calculate the tax impact of
the adjustments to net (loss) income from continuing operations for
the years ended December 31, 2018 and 2017, respectively. This
represents the incremental tax (expense) benefit that would have
been incurred had these items been excluded from net (loss) income
from continuing operations.

b)

The income tax benefit of $1.2 billion for the three months and year
ended December 31, 2017 reflects the revaluation of net deferred tax
liabilities to the lower corporate tax rate due to the Tax Cuts and
Jobs Act of 2017.

The table below reconciles adjusted operating cash flow and adjusted
free cash flow with net cash provided by operating activities, the most
comparable financial measure calculated in accordance with GAAP, as
derived from the Statements of Consolidated Cash Flows to be included in
EQT’s report on Form 10-K for the year ended December31, 2018.

Three Months Ended

Year Ended

December 31,

December 31,

2018

2017

2018

2017

(Thousands)

Net cash provided by operating activities

$

530,866

$

426,326

$

2,976,256

$

1,637,698

Add back / (deduct) changes in other assets and liabilities

261,216

115,923

119,495

10,664

Operating cash flow

$

792,082

$

542,249

$

3,095,751

$

1,648,362

(Deduct) / add back:

EBITDA attributable to discontinued operations (a)

(118,934

)

(166,680

)

(988,291

)

(690,825

)

Interest expense attributable to discontinued operations

19,452

9,931

88,300

34,801

Cash distributions from discontinued operations (b)

—

79,922

280,401

230,703

Adjusted operating cash flow

$

692,600

$

465,422

$

2,476,161

$

1,223,041

(Deduct):

Capital expenditures attributable to continuing operations

(558,351

)

(549,421

)

(2,739,103

)

(2,407,000

)

Adjusted free cash flow

$

134,249

$

(83,999

)

$

(262,942

)

$

(1,183,959

)

(a)

As a result of the Separation, the results of operations of
Equitrans Midstream Corporation are presented as discontinued
operations in EQT's Statements of Consolidated Operations. EBITDA
attributable to discontinued operations is a non-GAAP supplemental
financial measure reconciled in the section below.

(b)

Cash distributions from discontinued operations represents the cash
distributions payable from EQM Midstream Partners, LP, EQGP
Holdings, LP and RM Partners LP (EQT's former midstream affiliates)
to EQT for the three months and year ended December 31, 2018 and
2017.

EQT has not provided projected net cash provided by operating activities
or reconciliations of projected adjusted operating cash flow and
adjusted free cash flow to projected net cash provided by operating
activities, the most comparable financial measure calculated in
accordance with GAAP. EQT is unable to project net cash provided by
operating activities for any future period because this metric includes
the impact of changes in operating assets and liabilities related to the
timing of cash receipts and disbursements that may not relate to the
period in which the operating activities occurred. EQT is unable to
project these timing differences with any reasonable degree of accuracy
without unreasonable efforts such as predicting the timing of its and
customers’ payments, with accuracy to a specific day months in advance.
Furthermore, EQT does not provide guidance with respect to its average
realized price, among other items, that impact reconciling items between
net cash provided by operating activities and adjusted operating cash
flow and adjusted free cash flow, as applicable. Natural gas prices are
volatile and out of EQT’s control, and the timing of transactions and
the income tax effects of future transactions and other items are
difficult to accurately predict. Therefore, EQT is unable to provide
projected net cash provided by operating activities, or the related
reconciliations of projected adjusted operating cash flow and adjusted
free cash flow to projected net cash provided by operating activities,
without unreasonable effort.

EBITDA Attributable to Discontinued Operations

EBITDA attributable to discontinued operations is a non-GAAP
supplemental financial measure defined as net income from discontinued
operations, plus interest expense, income tax expense, depreciation,
amortization and impairment of goodwill attributable to discontinued
operations for the three months and years ended December31, 2018 and
2017.

The table below reconciles EBITDA attributable to discontinued
operations with (loss) income from discontinued operations, net of tax,
the most comparable financial measure calculated in accordance with
GAAP, as reported in the Statements of Consolidated Operations.

Three Months Ended

Year Ended

December 31,

December 31,

2018

2017

2018

2017

(Thousands)

(Loss) income from discontinued operations, net of tax

$

(163,911

)

$

102,645

$

373,762

$

471,113

Add back / (deduct):

Interest expense

19,452

9,931

88,300

34,801

Income tax (benefit) expense

(31,575

)

12,970

61,643

72,797

Depreciation

22,243

35,594

160,701

106,574

Amortization of intangible assets

4,847

5,540

36,007

5,540

Impairment of goodwill

267,878

—

267,878

—

EBITDA attributable to discontinued operations

$

118,934

$

166,680

$

988,291

$

690,825

Adjusted Operating Revenue

Adjusted operating revenue (also referred to as total natural gas &
liquids sales, including cash settled derivatives) is a non-GAAP
supplemental financial measure that is presented because it is an
important measure used by EQT’s management to evaluate
period-over-period comparisons of earnings trends. Adjusted operating
revenue as presented excludes the revenue impact of changes in the fair
value of derivative instruments prior to settlement and the revenue
impact of net marketing services and other revenues. Management utilizes
adjusted operating revenue to evaluate earnings trends because the
measure reflects only the impact of settled derivative contracts and
thus does not impact the revenue from natural gas sales with the
often-volatile fluctuations in the fair value of derivatives prior to
settlement. Adjusted operating revenue also excludes "net marketing
services and other" because management considers this revenue to be
unrelated to the revenue for its natural gas and liquids production.
"Net marketing services and other" includes both the cost of and
recoveries on third-party pipeline capacity not used for EQT's sales
volumes as well as revenue for gathering services provided to
third-parties. Management further believes that adjusted operating
revenue, as presented, provides useful information to investors for
evaluating period-over-period earnings trends.

The table below reconciles adjusted operating revenue to total operating
revenue, the most comparable financial measure calculated in accordance
with GAAP, as reported in the Statements of Consolidated Operations.

Three Months Ended

Year Ended

December 31,

December 31,

2018

2017

2018

2017

(Thousands, unless noted)

Total operating revenue

$

1,245,138

$

1,033,539

$

4,557,868

$

3,091,020

Add back / (deduct):

Loss (gain) on derivatives not designated as hedges

184,211

(167,328

)

178,591

(390,021

)

Net cash settlements (paid) received on derivatives not designated
as hedges

(197,878

)

47,565

(225,279

)

40,728

Premiums (paid) received for derivatives that settled during the
period

(18

)

537

435

2,132

Net marketing services and other

1,442

(18,025

)

(40,940

)

(49,681

)

Adjusted operating revenue

$

1,232,895

$

896,288

$

4,470,675

$

2,694,178

Total sales volumes (MMcfe)

393,907

294,439

1,487,689

887,520

Average realized price ($/Mcfe)

$

3.13

$

3.04

$

3.01

$

3.04

Adjusted EBITDA

Adjusted EBITDA is defined as net income from continuing operations,
plus interest expense, income tax expense, depreciation and depletion
expense, amortization of intangible assets, long-lived asset and
goodwill impairments, lease impairments and expirations, the revenue
impact of changes in the fair value of derivative instruments prior to
settlement, unrealized loss (gain) on EQT’s investment in ETRN,
transaction costs and certain other items that impact comparability
between periods. Adjusted EBITDA is a non-GAAP supplemental financial
measure that management and external users of EQT’s consolidated
financial statements, such as industry analysts, lenders and ratings
agencies use to assess EQT’s earnings trends. EQT believes that adjusted
EBITDA is an important measure used by EQT’s management and investors in
evaluating period-over-period comparisons of earnings trends. Adjusted
EBITDA should not be considered as an alternative to EQT’s net income
presented in accordance with GAAP. Adjusted EBITDA excludes the revenue
impact of changes in the fair value of derivative instruments prior to
settlement and other items that affect the comparability of results and
are not trends in the ongoing business. Management utilizes adjusted
EBITDA to evaluate earnings trends because the measure reflects only the
impact of settled derivative contracts and thus the income from natural
gas is not impacted by the often-volatile fluctuations in fair value of
derivatives prior to settlement.

The table below reconciles adjusted EBITDA with net (loss) income from
continuing operations, the most comparable financial measure as
calculated in accordance with GAAP, as reported in the Statements of
Consolidated Operations.

Three Months Ended

Year Ended

December 31,

December 31,

2018

2017

2018

2017

(Thousands)

(Loss) income from continuing operations

$

(598,062

)

$

1,276,690

$

(2,380,920

)

$

1,387,029

Add back / (deduct):

Interest expense

57,747

55,731

228,958

167,971

Income tax (benefit)

(99,788

)

(1,247,682

)

(696,511

)

(1,188,416

)

Depreciation and depletion

416,620

322,670

1,569,038

970,985

Amortization of intangible assets

10,342

5,400

41,367

5,400

Impairment/loss on sale of long-lived assets

3,538

—

2,709,976

—

Impairment of goodwill

530,811

—

530,811

—

Lease impairments and expirations

244,124

2,499

279,708

7,552

Loss (gain) on derivatives not designated as hedges

184,211

(167,328

)

178,591

(390,021

)

Net cash settlements (paid) received on derivatives not designated
as hedges

(197,878

)

47,565

(225,279

)

40,728

Premiums (paid) received for derivatives that settled during the
period

(18

)

537

435

2,132

Unrealized loss on EQT’s investment in ETRN

72,366

—

72,366

—

Transaction costs

2,401

142,540

26,331

152,188

Increase in litigation reserves

51,677

—

51,677

—

Loss on debt extinguishment

—

12,641

—

12,641

Adjusted EBITDA

$

678,091

$

451,263

$

2,386,548

$

1,168,189

EQT has not provided projected net income or a reconciliation of
projected adjusted EBITDA to projected net income, the most comparable
financial measure calculated in accordance with GAAP, because EQT does
not provide guidance with respect to depletion and depreciation expense,
income tax expense, the revenue impact of changes in the projected fair
value of derivative instruments prior to settlement or unrealized gains
and losses on its investments in equity securities. Therefore, projected
net income and a reconciliation of projected adjusted EBITDA to
projected net income, are not available without unreasonable effort.

About EQT Corporation:

EQT Corporation is a natural gas production company with emphasis in the
Appalachian Basin and operations throughout Pennsylvania, West Virginia
and Ohio. With 130 years of experience and a long-standing history of
good corporate citizenship, EQT is the largest producer of natural gas
in the United States. As a leader in the use of advanced horizontal
drilling technology, EQT is committed to minimizing the impact of
drilling-related activities and reducing its overall environmental
footprint. Through safe and responsible operations, EQT is helping to
meet our nation’s demand for clean-burning energy, while continuing to
provide a rewarding workplace and support for activities that enrich the
communities where its employees live and work. Visit EQT Corporation at www.EQT.com;
and to learn more about EQT’s sustainability efforts, please visit https://csr.eqt.com.

EQT Management speaks to investors from time to time and the analyst
presentation for these discussions, which is updated periodically, is
available via the Company’s investor relationship website at ir.eqt.com.

Cautionary Statements

The United States Securities and Exchange Commission (SEC) permits oil
and gas companies, in their filings with the SEC, to disclose only
proved, probable and possible reserves that a company anticipates as of
a given date to be economically and legally producible and deliverable
by application of development projects to known accumulations. The
Company uses certain terms, such as “EUR” (estimated ultimate recovery)
and “3P” (proved, probable and possible), that the SEC’s guidelines
prohibit the Company from including in filings with the SEC. These
measures are by their nature more speculative than estimates of reserves
prepared in accordance with SEC definitions and guidelines and
accordingly are less certain.

Total sales volume per day (or daily production) is an operational
estimate of the daily production or sales volume on a typical day
(excluding curtailments).

Reserve engineering is a process of estimating underground accumulations
of natural gas, NGLs and oil that cannot be measured in an exact way.
The accuracy of any reserve estimate depends on the quality of available
data, the interpretation of such data and price and cost assumptions
made by reserve engineers. In addition, the results of drilling, testing
and production activities may justify revisions of estimates that were
made previously. If significant, such revisions would change the
schedule of any further production and development program. Accordingly,
reserve estimates may differ significantly from the quantities of
natural gas, NGLs and oil that are ultimately recovered.

This news release contains certain forward-looking statements within the
meaning of Section 21E of the Securities Exchange Act of 1934, as
amended, and Section 27A of the Securities Act of 1933, as amended.
Statements that do not relate strictly to historical or current facts
are forward-looking. Without limiting the generality of the foregoing,
forward-looking statements contained in this news release specifically
include the expectations of plans, strategies, objectives and growth and
anticipated financial and operational performance of the Company and its
subsidiaries, including guidance regarding the Company’s strategy to
develop its reserves; drilling plans and programs (including the number,
type, spacing, average length-of-pay or lateral length and location of
wells to be drilled or turned-in-line, the number and type of drilling
rigs, the number of frac crews, and the availability of capital to
complete these plans and programs); projected natural gas prices, basis
and average differential; total resource potential, reserves and EUR;
projected production and sales volume and growth rates (including
liquids sales volume and growth rates); projected drilling and
completions (D&C) costs, other well costs, unit costs and G&A expenses;
projected reductions in expenses, capital costs and well costs, the
projected timing of achieving such reductions and the Company's ability
to achieve such reductions; infrastructure programs; projected capital
efficiency and cash savings and other operating efficiencies associated
with the Company’s business strategy; the Company’s ability to mitigate
curtailments; projected dividend amounts and rates; projected cash
flows, including the ability to fund the 2019 drilling program through
cash from operations; projected adjusted free cash flow, adjusted
operating cash flow, and net income attributable to noncontrolling
interests, including the Company’s ownership of ETRN common stock;
monetization transactions, including asset sales, joint ventures or
other transactions involving the Company’s assets; the timing and
structure of any dispositions of the Company's ownership of common stock
of ETRN, and the planned use of the proceeds from any such dispositions;
projected capital contributions and capital expenditures; projected
adjusted EBITDA; liquidity and financing requirements, including funding
sources and availability; the Company’s hedging strategy; and tax
position, projected effective tax rate and the impact of changes in tax
laws. These forward-looking statements involve risks and uncertainties
that could cause actual results to differ materially from projected
results. Accordingly, investors should not place undue reliance on
forward-looking statements as a prediction of actual results. The
Company has based these forward-looking statements on current
expectations and assumptions about future events, taking into account
all information currently available to the Company. While the Company
considers these expectations and assumptions to be reasonable, they are
inherently subject to significant business, economic, competitive,
regulatory and other risks and uncertainties, many of which are
difficult to predict and beyond the Company’s control. The risks and
uncertainties that may affect the operations, performance and results of
the Company’s business and forward-looking statements include, but are
not limited to, those set forth under Item 1A, “Risk Factors,” of the
Company’s Form 10-K for the year ended December 31, 2017 as filed with
the SEC and the Company’s Form 10-K for the year ended December 31, 2018
to be filed with the SEC, as updated by any subsequent Form 10-Qs, and
those set forth in the other documents the Company files from time to
time with the SEC.

Any forward-looking statement speaks only as of the date on which such
statement is made, and the Company does not intend to correct or update
any forward-looking statement, whether as a result of new information,
future events or otherwise, except as required by law.

EQT CORPORATION AND SUBSIDIARIES

STATEMENTS OF CONSOLIDATED OPERATIONS

Three Months Ended

Year Ended

December 31,

December 31,

2018

2017

2018

2017

(Thousands except per share amounts)

Operating revenues:

Sales of natural gas, oil and NGLs

$

1,430,791

$

848,186

$

4,695,519

$

2,651,318

Net marketing services and other

(1,442

)

18,025

40,940

49,681

(Loss) gain on derivatives not designated as hedges

(184,211

)

167,328

(178,591

)

390,021

Total operating revenues

1,245,138

1,033,539

4,557,868

3,091,020

Operating expenses:

Transportation and processing

431,528

341,703

1,697,001

1,164,783

Production

46,544

51,888

195,775

181,349

Exploration

291

13,579

6,765

17,565

Selling, general and administrative

129,630

56,003

284,220

208,986

Depreciation and depletion

416,620

322,670

1,569,038

970,985

Impairment/loss on sale of long-lived assets

3,538

—

2,709,976

—

Impairment of goodwill

530,811

—

530,811

—

Lease impairments and expirations

244,124

2,499

279,708

7,552

Transaction costs

2,401

142,540

26,331

152,188

Amortization of intangible assets

10,342

5,400

41,367

5,400

Total operating expenses

1,815,829

936,282

7,340,992

2,708,808

Operating (loss) income

(570,691

)

97,257

(2,783,124

)

382,212

Other expense (income)

69,412

(123

)

65,349

2,987

Loss on debt extinguishment

—

12,641

—

12,641

Interest expense

57,747

55,731

228,958

167,971

(Loss) income from continuing operations before income taxes

(697,850

)

29,008

(3,077,431

)

198,613

Income tax (benefit)

(99,788

)

(1,247,682

)

(696,511

)

(1,188,416

)

(Loss) income from continuing operations

(598,062

)

1,276,690

(2,380,920

)

1,387,029

(Loss) income from discontinued operations, net of tax

(163,911

)

102,645

373,762

471,113

Net (loss) income

(761,973

)

1,379,335

(2,007,158

)

1,858,142

Less: Net income from discontinued operations attributable to
noncontrolling interests

For the three months and year ended December 31, 2018, results
include operations acquired in the Rice Merger. For the three months
and year ended December 31, 2017, results include operations
acquired in the Rice Merger for the period of November 13, 2017
through December 31, 2017.

(b)

The Company’s volume weighted NYMEX natural gas price (actual
average NYMEX natural gas price ($/MMBtu) was $3.64 and $2.93 for
the three months ended December 31, 2018 and 2017, respectively, and
$3.09 and $3.11 for the year ended December 31, 2018 and 2017,
respectively).

(c)

Basis represents the difference between the ultimate sales price for
natural gas and the NYMEX natural gas price.

(d)

NGLs, ethane and crude oil were converted to Mcfe at the rate of six
Mcfe per barrel for all periods.

(e)

Also referred to in this report as adjusted operating revenues, a
non-GAAP supplemental financial measure.

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